Delaware Real Estate Broker Exam — All Questions

Which authority licenses and regulates real estate brokers in Delaware?

• a.The Delaware Association of Realtors
• b.The Delaware Real Estate Commission within the Division of Professional Regulation✓
• c.The Delaware Department of Transportation
• d.The county Recorder of Deeds

Delaware real estate licensing is governed by Title 24, Chapter 29 of the Delaware Code and administered by the Delaware Real Estate Commission, which operates within the Division of Professional Regulation. The Commission issues, renews, and disciplines broker and salesperson licenses and adopts the rules that govern practice. A trade association has no licensing power.

The Delaware Real Estate Guaranty Fund exists mainly to:

• a.Fund the Commission's day-to-day operations
• b.Insure brokers against ordinary business losses
• c.Reimburse a consumer who has an uncollectible court judgment against a licensee for fraud or misrepresentation in a transaction✓
• d.Provide down-payment assistance to buyers

The Delaware Real Estate Guaranty Fund compensates members of the public who obtain a final judgment against a licensee for fraud, misrepresentation, or deceit in a licensed transaction and cannot collect it. Statutory limits apply per transaction and per licensee, and the licensee's license can be suspended until the fund is repaid. It is a consumer-protection fund, not an operating or lending program.

A distinctive feature of Delaware's broker examination process is the 'Client Waiver,' which:

• a.Allows a qualifying out-of-state licensee to skip the national/general portion and take only the Delaware state portion✓
• b.Waives all fees for first-time applicants
• c.Lets a candidate skip the Delaware state portion
• d.Waives the requirement to have a sponsoring broker

Delaware permits a Client Waiver under which qualifying licensees from another jurisdiction may be exempt from the national/general portion and sit only for the Delaware state-law portion. It does not waive the Delaware state portion, fees, or the requirement to be affiliated properly. Candidates should confirm eligibility with the Commission because waiver rules change.

Compared with a Delaware salesperson license, a Delaware broker license authorizes the holder to:

• a.Practice law for clients
• b.Skip continuing education
• c.Appraise property without an appraiser license
• d.Operate a brokerage, supervise affiliated licensees, and maintain the firm's escrow accounts✓

A Delaware broker may run a brokerage, employ and supervise salespersons and associate brokers, and be responsible for the firm's escrow/trust accounts. A salesperson must work under a broker and cannot independently hold client funds. The broker license does not permit practicing law or appraising outside the appraiser-license framework, and continuing education still applies.